Andrew Bailey, the Governor of the Bank of England and Chair of the Financial Stability Board, has warned G20 finance ministers and central bank governors that advanced artificial intelligence poses significant risks to the global financial system. In a letter made public shortly before a meeting in Asheville, North Carolina, Bailey highlighted that frontier AI models could materially increase cyber risks to financial infrastructure.
Bailey identified the impact of AI on cyber risk as the most immediate concern for the global financial system, noting that the technology could change the speed, scale, and economics of an attack. He observed that frontier AI models are demonstrating increasingly sophisticated autonomy, problem-solving abilities, and threat capabilities.
Warning that cyber-disruption could spread across jurisdictions, Bailey stated that jurisdictions need to strengthen cybersecurity and enhance preventive measures. He emphasized the importance of correcting vulnerabilities that could have a dangerous impact on the global economy.